Private equity fund Providence is set to sell it's 3.33 per cent holding in the country's third biggest telco Idea Cellular for over Rs 1,267 crore, marking its complete exit from the Aditya Birla Group company that is planning to merge with larger rival Vodafone.
It will be selling the stake on the exchanges tomorrow in the block deal in a price range of Rs 106.5 to Rs 114.55, sources said.
At the lower end of the price, which is a 7 per cent discount to the stock's close on the NSE today, it will raise about Rs 1,267 crore.
It can be noted that the Idea Cellular stock has had a rally for over a month now, ever since speculation and a confirmation of talks for a merger with second biggest telco Vodafone came out.
The stock gained 53 per cent since January but declined over 4 per cent today Citi india is the sole boon runner of the dealm according to marky sources.
The PE firm had picked up 15 per cent in 2006 through its investment arm P5 Asia Investment (Mauritius) for around Rs 1,800 crore and has been paring its holding continuously over the years. Last June it had sold 3.47 per cent in the telco for Rs 1,383.
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